BOE(200725)2023-04-03 16:00Financial Performance - BOE achieved operating revenue of RMB178.41 billion and a net profit of RMB7.55 billion in 2022, indicating resilience amid industry downturns[3]. - In 2022, BOE Technology Group Co., Ltd. reported operating revenue of RMB 178.41 billion, a decrease of 19.28% compared to RMB 221.04 billion in 2021[22]. - The net profit attributable to the listed company's shareholders in 2022 was RMB 7.55 billion, reflecting a significant decline of 70.91% from RMB 25.96 billion in 2021[22]. - The net cash generated from operating activities decreased by 31.38% to RMB 43.02 billion in 2022, down from RMB 62.70 billion in 2021[22]. - Basic earnings per share fell to RMB 0.19 in 2022, a decrease of 73.24% from RMB 0.71 in 2021[24]. - Total assets as of December 31, 2022, were RMB 420.56 billion, down 6.59% from RMB 450.23 billion in 2021[25]. - The company's equity attributable to shareholders decreased by 4.97% to RMB 136.09 billion in 2022, compared to RMB 143.20 billion in 2021[25]. - Cash generated from operating activities decreased by 31.38% year-on-year to RMB 43.02 billion, primarily due to decreased sales[83]. Business Segments and Growth - The shipment area in five application domains (smartphones, tablet PCs, laptops, monitors, and TVs) ranked first globally, with flexible AMOLED shipments increasing by 30%[3]. - Revenue from system solutions and sensing business increased by over 41%, while MLED and smart medical industry revenues grew by nearly 85% and over 19%, respectively[4]. - The IoT Innovation business achieved operating revenue of approximately RMB 27,245 million, with TV terminal sales growing over 40% year-on-year[51]. - The Sensor business reported operating revenue of approximately RMB 307 million, up approximately 41.80% year-on-year[52]. - The MLED business generated operating revenue of approximately RMB 847 million, reflecting an 84.79% year-on-year growth[54]. - The Smart Medical Engineering business achieved operating revenue of approximately RMB 2,203 million, increasing by approximately 19.31% year-on-year[55]. - The operational revenue for the Display Devices business was approximately RMB 157,949 million during the reporting period[50]. - Operating revenue for the Display Devices business decreased by 22.55% to RMB 157.95 billion in 2022, compared to RMB 203.94 billion in 2021[58]. Research and Development - BOE holds over 80,000 patents, with more than 28,000 related to OLED technology, ranking 11th worldwide for patents granted in the US[6]. - R&D expenses increased by 4.56% to RMB 11.10 billion in 2022, up from RMB 10.62 billion in 2021[65]. - The number of R&D personnel increased to 21,075, a growth of 6.94% year-on-year, with R&D personnel constituting 23.86% of total employees[81]. - BOE Technology Group's R&D investments for 2022 amounted to RMB 12.60 billion, representing 7.06% of operating revenue, an increase of 1.43% from 2021[81]. Strategic Initiatives - The company has established a "1+4+N+Ecosystem" business development structure focusing on IoT transformation[5]. - BOE's strategic focus includes the development of "Screen-Connected IoT," aiming to integrate screens into various market segments and application scenarios[37]. - The company is expanding its core businesses, including Display Devices, IoT Innovation, Sensor, MLED, and Smart Medical Engineering[40]. - The company is committed to becoming a global leader in the IoT innovation sector as it celebrates its 30th anniversary in 2023[10]. - The company aims to enhance OLED technology strength and increase the proportion of high-end products in its Display Devices business[142]. - The IoT Innovation business will focus on software and hardware integration, strategic customer development, and strengthening partnerships within the ecosystem[143]. - The MLED business plans to create a Mini/Micro LED product group and enhance product competitiveness through collaboration with upstream and downstream resources[144]. Corporate Governance - The Board of Directors is composed of qualified individuals who diligently perform their duties, with three special committees established for strategic, remuneration, and risk control purposes[155]. - The Supervisory Committee actively supervises the legality and compliance of financial staff and management, ensuring the protection of shareholders' rights[156]. - The Company emphasizes timely and accurate information disclosure, adhering to relevant laws and regulations to maintain transparency[157]. - The Company has established a dedicated investor relations team to facilitate communication and enhance investor education through various platforms[157]. - The Company has independent financial departments and a standardized accounting system, ensuring financial autonomy and compliance[162]. - The Company has not encountered any material non-compliance issues with laws or regulations during the Reporting Period[159]. Market Position and Future Outlook - The company is focused on expanding its market presence and enhancing its product offerings through new technology development[181]. - The company is optimistic about its future outlook, anticipating growth in revenue and market share in the coming years[181]. - The company is actively pursuing opportunities for mergers and acquisitions to strengthen its competitive position in the market[181]. - The company aims to leverage its expertise in optoelectronics to drive future growth and innovation in the industry[181]. Talent and Workforce - The company has nearly 400 foreign experts and over 2,600 overseas employees, emphasizing global talent management[8]. - The company experienced a significant management turnover, with multiple directors and senior management resigning upon the expiry of their office terms on April 28, 2022[181]. - The company appointed new directors and senior management on April 28, 2022, including Fan Yuanning as a director and Yang Xiaoping as senior management[181]. - The management team is committed to maintaining high standards of corporate governance amidst the changes in leadership[181].